This scalping system of trading was submitted by Joy. It is a trading system that is designed for use when trading during the London and New York trade sessions.
The New York session opens at eight am and closes at five pm of the EST time zone while the London opens at three in the morning and closes at twelve noon EST. Therefore there are some hours when the London and the New York sessions overlap since when the New York open it finds the London session still open. The two sessions overlap between 8:00 am and 12:00 noon EST.
Trading the currencies involved in the London and New York during the time the two trading sessions overlap give the best returns. For example, trading GBP/USD currency pair would give good results between eight in the morning and twelve noon EST when two markets for those currencies are active. The main reason for this is because at those overlapping trading hours there is the highest volume of trades and therefore more chances to win in the foreign currency exchange market due to the volatility of the market prices.
The system gives best results when used on the five minute timeframe. Some experts may use a higher timeframe but trade on a 5 pip bar basis. That is, they convert the time frame they are using in pips.
The Scalping Velocity Market Trading System uses different matatrader indicators which include:
- The SSTCalc Long indicator
- The SSTCalc Short indicator
- Rebellion Evolution indicator
- !De_Munyuk indicator
Fig.1. The template of the Scalping Velocity Market Trading System.
Looking at the above chart, it is somehow hard to interpret it just by a mere look. Even differentiating the SSTCalc Long from the SSTCalc Short cannot be done at a glance. The two are very similar. They appear as the boxes with crosses inside.
However the only thing that is important when trading, is the arrows that appear. The arrows are those airplane like figures that form and aren’t enclosed by a box. This are easy to distinguish since the SSTCalc Short arrows form below the market prices and are red in color while the SSTCalc Long are blue in color and form above the market prices.
When to trade when using the Scalping Velocity Market Trading System
You should not open any trade when two level stops appears on the same candlestick.
Scalping Velocity Market Placing a buy:
The trader should open a long (buy order) when the SSTCalc Long arrow appears. Do not forget that this is the blue arrow that forms above. Then it should be confirmed by the De_Munyuk indicator turning green.
Scalping Velocity Market Placing a sell:
The trader should open a short (sell order) when the SSTCalc Short arrow appears.do not forget that this is the red arrow that forms below. Then it should be confirmed by the De_Munyuk indicator turning green.
After opening the trades, you should place stops. The stop loss is placed at around 2 pips away; below or above the arrows. The take profit should then be placed at around three pips away from the arrows.
Fig.2. Scalping Velocity Marketplacing orders.
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